IOM Report Cites $750 Billion in Health Spending Waste

A staggering 30% of U.S. health spending in 2009—roughly $750 billion—was wasted on unnecessary services, excessive administrative costs, fraud, and other problems, according to a report released yesterday by the Institute of Medicine. The report, “Best Care at Lower Cost: The Path to Continuously Learning Health Care in America,” identifies six major areas of waste and their annual cost: unnecessary services ($210 billion), inefficient delivery of care ($130 billion), excess administrative costs ($190 billion), inflated prices ($105 billion), prevention failures ($55 billion), and fraud ($75 billion).

The report also lists 10 recommendations...

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Published By: Psychiatric News - Friday, 7 September

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• Health Care Spending Rose Higher Than Expected in 2011 Psychiatric News (3 days ago) - U.S. health care spending grew at a faster pace than expected in 2011, according to a report released yesterday by the Health Care Cost Institute (HCCI). HCCI found that average...